PPT. Slides Chap. 8

7/31/2019 PPT. Slides Chap. 8

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2007 Prentice Hall 8-1

Chapter Eight

Measurement and Scaling:

Fundamentals andComparative Scaling


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Chapter Outline

1) Overview

2) Measurement and Scaling

3) Primary Scales of Measurement

i. Nominal Scale

ii. Ordinal Scale

iii. Interval Scale

iv. Ratio Scale

4) A Comparison of Scaling Techniques


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Chapter Outline

5) Comparative Scaling Techniques

i. Paired Comparison

ii. Rank Order Scaling

iii. Constant Sum Scaling

iv. Q-Sort and Other Procedures

6) Verbal Protocols

7) International Marketing Research

8) Ethics in Marketing Research

9) Summary


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Measurement and Scaling

Measurement means assigning numbers or othersymbols to characteristics of objects according to certain

pre-specified rules.

One-to-one correspondence between the numbersand the characteristics being measured.

The rules for assigning numbers should bestandardized and applied uniformly.

Rules must not change over objects or time.


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Measurement and Scaling

Scaling involves creating a continuum upon whichmeasured objects are located.

Consider an attitude scale from 1 to 100. Eachrespondent is assigned a number from 1 to 100, with 1 =Extremely Unfavorable, and 100 = Extremely Favorable.Measurement is the actual assignment of a number from

1 to 100 to each respondent. Scaling is the process ofplacing the respondents on a continuum with respect totheir attitude toward department stores.


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Primary Scales of Measurement

7 38

Scale

Nominal NumbersAssignedto Runners

Ordinal Rank Orderof Winners

Interval PerformanceRating on a0 to 10 Scale

Ratio Time to

Finish, inSeconds

Fig. 8.1

Thirdplace

Secondplace

Firstplace

Finish

Finish

8.2 9.1 9.6

15.2 14.1 13.4


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Primary Scales of MeasurementNominal Scale

The numbers serve only as labels or tags for identifying andclassifying objects.

When used for identification, there is a strict one-to-onecorrespondence between the numbers and the objects.

The numbers do not reflect the amount of the characteristicpossessed by the objects.

The only permissible operation on the numbers in a nominalscale is counting.

Only a limited number of statistics, all of which are based onfrequency counts, are permissible, e.g., percentages, and

mode.



Illustration of Primary Scales ofMeasurement

Table 8.2Nominal Ordinal RatioScale Scale Scale

Preference $ spent lastNo. Store Rankings 3 months

1. Parisian2. Macys3. Kmart4. Kohls

5. J.C. Penney6. Neiman Marcus7. Marshalls8. Saks Fifth Avenue9. Sears10.Wal-Mart

IntervalScalePreferenceRatings

1-7 11-177 79 5 15 0

2 25 7 17 200

8 82 4 14 0

3 30 6 16 100

1 10 7 17 2505 53 5 15 35

9 95 4 14 0

6 61 5 15 100

4 45 6 16 0

10 115 2 12 10



Primary Scales of MeasurementOrdinal Scale

A ranking scale in which numbers are assigned to objects toindicate the relative extent to which the objects possess somecharacteristic.

Can determine whether an object has more or less of acharacteristic than some other object, but not how muchmore or less.

Any series of numbers can be assigned that preserves the

ordered relationships between the objects.

In addition to the counting operation allowable for nominalscale data, ordinal scales permit the use of statistics based oncentiles, e.g., percentile, quartile, median.



Primary Scales of MeasurementInterval Scale

Numerically equal distances on the scale represent equalvalues in the characteristic being measured.

It permits comparison of the differences between objects.

The location of the zero point is not fixed. Both the zeropoint and the units of measurement are arbitrary.

Any positive linear transformation of the form y = a + bx willpreserve the properties of the scale.

It is not meaningful to take ratios of scale values. Statistical techniques that may be used include all of those

that can be applied to nominal and ordinal data, and inaddition the arithmetic mean, standard deviation, and otherstatistics commonly used in marketing research.




Ratio Scale

Possesses all the properties of the nominal, ordinal, andinterval scales.

It has an absolute zero point.

It is meaningful to compute ratios of scale values.

Only proportionate transformations of the form y = bx,where b is a positive constant, are allowed.

All statistical techniques can be applied to ratio data.




Table 8.1

Scale Basic

Characteristics

Common

Examples

Marketing

Examples

Nominal Numbers identify

& classify objects

Social Security

nos., numbering

of football players

Brand nos., store

types

Percentages,

mode

Chi-square,

binomial test

Ordinal Nos. indicate the

relative positions

of objects but not

the magnitude of

differences

between them

Quality rankings,

rankings of teams

in a tournament

Preference

rankings, market

position, social

class

Percentile,

median

Rank-order

correlation,

Friedman

ANOVA

Ratio Zero point is fixed,

ratios of scale

values can be

compared

Length, weight Age, sales,

income, costs

Geometric

mean, harmonic

mean

Coefficient of

variation

Permissible Statistics

Descriptive Inferential

Interval Differencesbetween objects

Temperature(Fahrenheit)

Attitudes,opinions, index

Range, mean,standard

Product-moment



A Classification of Scaling TechniquesFigure 8.2

Likert Semantic

Differential

Stapel

Scaling Techniques

Noncomparative

Scales

Comparative

Scales

Paired

Comparison

Rank

Order

Constant

Sum

Q-Sort and

OtherProcedures

ContinuousRating Scales

ItemizedRating Scales



A Comparison of Scaling

Techniques

Comparative scales involve the direct comparison ofstimulus objects. Comparative scale data must beinterpreted in relative terms and have only ordinal orrank order properties.

In noncomparative scales, each object is scaledindependently of the others in the stimulus set. Theresulting data are generally assumed to be interval orratio scaled.



Relative Advantages of ComparativeScales

Small differences between stimulus objects can bedetected.

Same known reference points for all respondents.

Easily understood and can be applied.

Involve fewer theoretical assumptions.

Tend to reduce halo or carryover effects from onejudgment to another.



Relative Disadvantages ofComparative Scales

Ordinal nature of the data

Inability to generalize beyond the stimulusobjects scaled.



Comparative Scaling TechniquesPaired Comparison Scaling

A respondent is presented with two objects andasked to select one according to some criterion.

The data obtained are ordinal in nature.

Paired comparison scaling is the most widely-usedcomparative scaling technique.

With n brands, [n(n - 1) /2] paired comparisons arerequired.

Under the assumption of transitivity, it is possible toconvert paired comparison data to a rank order.

Obt i i Sh P f



Obtaining Shampoo PreferencesUsing Paired Comparisons

Fig. 8.3

Instructions: We are going to present you with ten pairs ofshampoo brands. For each pair, please indicate which one of the twobrands of shampoo you would prefer for personal use.

Recording Form: Jhirmack Finesse VidalSassoon

Head &

Shoulders

Pert

Jhirmack 0 0 1 0

Finesse 1a 0 1 0

Vidal Sassoon 1 1 1 1

Head & Shoulders 0 0 0 0

Pert 1 1 0 1

Number of Times

Preferredb

3 2 0 4 1

aA 1 in a particular box means that the brand in that column was preferredover the brand in the corresponding row. A 0 means that the row brand waspreferred over the column brand. bThe number of times a brand was preferred

is obtained by summing the 1s in each column.



Paired Comparison Selling

The most common method of taste testing is paired comparison.

The consumer is asked to sample two different products and selectthe one with the most appealing taste. The test is done in privateand a minimum of 1,000 responses is considered an adequatesample. A blind taste test for a soft drink, where imagery, self-perception and brand reputation are very important factors in the

consumers purchasing decision, may not be a good indicator ofperformance in the marketplace. The introduction of New Cokeillustrates this point. New Coke was heavily favored in blind pairedcomparison taste tests, but its introduction was less than successful,because image plays a major role in the purchase of Coke.

A paired comparisontaste test


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Comparative Scaling TechniquesRank Order Scaling

Respondents are presented with several objectssimultaneously and asked to order or rank themaccording to some criterion.

It is possible that the respondent may dislike the brandranked 1 in an absolute sense.

Furthermore, rank order scaling also results in ordinal

data.

Only (n - 1) scaling decisions need be made in rankorder scaling.


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Preference for Toothpaste BrandsUsing Rank Order Scaling

Fig. 8.4

Instructions: Rank the various brands of toothpaste inorder of preference. Begin by picking out the one brand

that you like most and assign it a number 1. Then find thesecond most preferred brand and assign it a number 2.Continue this procedure until you have ranked all thebrands of toothpaste in order of preference. The leastpreferred brand should be assigned a rank of 10.

No two brands should receive the same rank number.

The criterion of preference is entirely up to you. There is noright or wrong answer. Just try to be consistent.


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Preference for Toothpaste BrandsUsing Rank Order Scaling

Brand Rank Order

1. Crest _________2. Colgate _________

3. Aim _________

4. Gleem _________

5. Sensodyne _________

6. Ultra Brite _________

7. Close Up _________

8. Pepsodent _________

9. Plus White _________

10. Stripe _________

Fig. 8.4 cont.

Form


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Comparative Scaling Techniques

Constant Sum Scaling

Respondents allocate a constant sum of units, such as100 points to attributes of a product to reflect their

importance.

If an attribute is unimportant, the respondent assigns itzero points.

If an attribute is twice as important as some otherattribute, it receives twice as many points.

The sum of all the points is 100. Hence, the name ofthe scale.


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Importance of Bathing Soap AttributesUsing a Constant Sum Scale

Fig. 8.5

Instructions

On the next slide, there are eight attributes ofbathing soaps. Please allocate 100 points amongthe attributes so that your allocation reflects therelative importance you attach to each attribute.The more points an attribute receives, the more

important the attribute is. If an attribute is not atall important, assign it zero points. If an attributeis twice as important as some other attribute, itshould receive twice as many points.

mpor ance o a ng oap r u es


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2007 P ti H ll 8 25

Fig. 8.5 cont.

FormAverage Responses of Three Segments

Attribute Segment I Segment II Segment III1. Mildness

2. Lather3. Shrinkage4. Price5. Fragrance6. Packaging

7. Moisturizing8. Cleaning Power

Sum

8 2 4

2 4 173 9 753 17 9

9 0 197 5 9

5 3 2013 60 15

100 100 100

mpor ance o a ng oap r u esUsing a Constant Sum Scale

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